Treasury Strip ?

Ciprico

What are these:

I assume very similar to a Gilt...?

Would this be a an efficient and safe way to convert income into tax free (capital) gains for unprotected savings...?

UK Treasury Strip GBP | GB0030884786 | 3088478

0.000

7 March 2025

£92.800

Marcon

Ciprico said:

What are these:

I assume very similar to a Gilt...?

Would this be a an efficient and safe way to convert income into tax free (capital) gains for unprotected savings...?

UK Treasury Strip GBP | GB0030884786 | 3088478

0.000

7 March 2025

£92.800

Google on 'treasury strip' and you'll get an explanation, plus details of the pros and cons.

Malthusian

Ciprico said:

Would this be a an efficient and safe way to convert income into tax free (capital) gains for unprotected savings...?

Definitely not, as gains on gilt strips are taxed on an annual basis as income.

DMO.gov.uk said:
All gains and losses on gilt strips held by individuals are taxed as income on an annual basis. At the end of the tax year, individuals are deemed for tax to have disposed of and reacquired their holdings of gilt strips at their then current value; any gain (or loss) arising during the year on the holding is taxed (or relieved) as income.